Eni announced the start of the Merakes Development Project in Indonesia following the approval received by the Minister of Energy of Indonesia and the authorisation for the investment plan sanctioned by the company’s Board of Directors.
The Merakes development project, located in the Kutei Basin, offshore East Kalimantan, consists in the drilling and construction of subsea wells with a dedicated transportation system in 1500 meters water depth and connected to the Jangkrik Floating Production Unit (FPU), located 35 kms North East.
The gas production will be shipped to the Bontang LNG plant using also all the other existing facilities of Jangkrik field as well as the East Kalimantan transportation network. This new production will contribute also to the life extension of the plant.
Eni’s CEO Claudio Descalzi said: “the Merakes Development Project approval is an important step for our strategy in South East Asia aimed at increasing both our presence and our production only through an organic growth. In order to do so, we will leverage on exploration, which will enable us to increase our reserves first, and then our gas production thanks to the optimisation of existing facilities and complying with the strictest time-to-market.”
This development will also strengthen Eni’s technological and operations leadership in the development of deep-water gas fields in Indonesia.
Eni also announced that it had successfully drilled and tested the Merakes East prospect in East Sepinggan block, Offshore Kalimantan, Indonesia. The prospect is located 33 km south east from the Eni-operated Jangkrik field and just 3 km east of the Merakes Field. The well has been drilled to a depth of 3,400 m MD in 1,592 m of water depth and encountered 15 meters of gas bearing net sands in two distinct levels of Miocene Age.
The analysis of test data show that in production configuration the well can deliver 70 mmscfd of gas and 1000 bbld of associated condensates.
Eni is the operator of East Sepinggan Contract Area through its subsidiary Eni East Sepinggan Limited which holds an 85 per cent Participating Interest while PT Pertamina Hulu Energi East Sepinggan holds the remaining 15 per cent.